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THE SURPRISING PATENT PACT

INTELLECT DESK
THE SURPRISING PATENT PACT

Ericsson and Huawei have extended their global patent cross license agreement. This includes a cross license that covers patents relating to both companies' wireless standard-essential patents (including the GSM, UMTS and LTE cellular standards). With this new move, both Ericsson and Huawei can now have access to each other’s standard essential patents which covers all standards for 2G, 3G and 4G connectivity. 

However, Huawei will continue to pay royalties based on the sale of the current fiscal year to Ericsson as per the previous agreements. Other aspects of the agreement are said to be strictly confidential.

Jianxin Ding, Head of Global Intellectual Property, Huawei Technologies Co. Ltd. said, "We are pleased to extend our global cross license agreement with Ericsson. This new agreement reflects the two leading companies' joint view that innovation and intellectual property rights shall be protected.” 

Ericsson’s Chief Intellectual Property Officer, Kasim Alfalahi says, "We are happy to see an extension of the agreement. The extension shows our commitment to drive innovation and industry development…Our role is to drive this transformation, opening up new ways to innovate, to collaborate, and to empower people, business, and society.” 

None of these big techno companies are strangers to court room battles. Ericsson had filed a lawsuit against Apple back in 2015, both in US and Europe. Microsoft and Google had also decided to end all ties of suits over settlements while Samsung put its ongoing row with Apple to rest. We only have to wait and see how the joint patent agreement works out for Huawei and Ericsson before one of them lash out at the other.
 

January 18, 2016
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